Bank Guarantee (MT- 760) is an irrevocable commitment issued by a bank on behalf of their customer who has entered in a contract to purchase goods from a supplier and promised to meet all financial obligations to the supplier in the event of default. In other words, a Bank Guarantee is an undertaking of a bank on behalf of its customer. A Bank Guarantee often helps firms conduct their business with parties they would not normally deal with. Many suppliers will often choose to do business with customers that have a Bank Guarantee because it eliminates the risk that they will not receive the appropriate payment for the goods that they are selling.

• Buyer submits requirement in terms of pro-forma invoice or buy and sell agreement of the trade deal to Global Platform Services. • Global Platform Services conducts due diligence of the commercial transaction between buyer and seller and will inform the concerned parties about the approval or rejection of their BG application. • Once the BG application is approved, the buyer will provide the required documents and pay the BG issuance fees. • Global Platform Services will diligently act to provide from their bank the required BG on behalf of buyer and in favor of their supplier to conclude the trade deal.

• To improve the credit ratings for issuers of industrial development revenue bonds and commercial papers. • To provide back-up facilities for loans granted by third parties. • To assure performance under construction and employment contracts. • To ensure the account party satisfies financial obligations payable to major suppliers.